Gujarat to charge Rs 900/sq m for Nano land

Oct 16, 2008, 01.51 AM IST

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GANDHINAGAR: The Gujarat cabinet on Wednesday decided to charge Rs 900 per square metre from Tata for the 1,100 acre given for Nano car project in Sanand, which means the company will have to pay Rs 400.65 crore for the land.

A state cabinet meeting, chaired by chief minister Narendra Modi, took the decision on the basis of recommendation of state-level land valuation committee of the state government, official sources said. The cabinet also decided that if the Tatas pay late then they will be charged compound interest of 8% from the date of allocation of the land.

The state has given 1,100 acres of land near Charodi village in Sanand taluk on the outskrits of the city to the Tatas for the relocation of their Nano car project from Singur in West Bengal. An agreement was signed between Gujarat government and the Tatas last week for establishment of the project.